"The resell value depends on a few factors, including technology advances. The rule of thumb would be that anything over five years would start costing and would not have much resell value," Rembiesa says.
The average life cycle
of common hardware
|Cell phones||2 years|
|Laptop PC||3 years|
|Desktop PC||4 years|
|Networking gear||5 years|
The challenge, Rembiesa and others agree, is finding the sweet spot where the equipment is too old to justify supporting but still young enough to resell.
When RJ Juliano joined Brandywine Realty Trust four years ago, he looked at tax codes, maintenance costs and other factors in trying to develop an asset management plan that fit with the company's practices and policies.
Juliano, who is CIO of the Radnor, Pa., firm as well as a member of the Society for Information Management, noted that Brandywine counts most IT equipment as an expense, not an asset. He also considered his company's tax position and its margins when deciding how to optimize the value of technology as it neared its end of life.
Brandywine now has a mix of options to help get the most residual value out of its older equipment. Some pieces are refurbished by staffers and reused in-house for either backup or less critical functions. Some are kept for spare parts to use in more current equipment; others go to vendors like Five Stars Telecom, which gives him credit to use toward future purchases; and some are donated to charities. (See "Junk tech gear helps charity," on the next page, for one charitable option.)
Juliano can't say exactly how much these efforts have saved the company but notes that it's "not insubstantial." For example, Brandywine has earned about $100,000 in credits over the past four years by selling equipment back to vendors, he says.
Organize your assets
How can companies ensure that they're reaping the maximum return on their assets? By centrally managing their IT gear, which gives them insight into their entire inventory, says Redemtech President Robert Houghton. (For more information, see "Life-cycle management explained.")
Junk tech gear helps charity
IT leaders at Memorial Hospital in Chester, Ill., were deploying a new server when they learned that their vendor, Ottawa-based KOM Networks, had a Junk-A-Juke program that allowed clients to get rid of their old IT equipment for a charitable cause.
Sign up for Computerworld eNewsletters.
On Cloud Nine with IBM
Eric Schnatterly, Vice President IBM Systems for Cloud Platforms, Asia Pacific, talks about the company’s latest pipeline of innovation in the cloud and data space
The Future of Retail in a Digital World
Retailers may face cyber attacks like any other industry, but steps can be taken to guard against cyber crime.
Veeam Availability Platform Designs for Ransomware Resiliency Series
The threat of ransomware is real and should be top of mind for CIOs as well as technology administrators of all types. In this brief, Veeam® will share some key tips to add ransomware resiliency to provide the best levels of Availability for critical applications and data.
VMware Virtual SAN risk avoidance and Availability
Veeam Backup & Replication provides full support for VMware vSAN, enabling faster backups through smart logic that reduces network traffic and enables backup and restore for the storage policy associated with the VM.
Transforming Data protection with Integrations for Microsoft Azure and Microsoft Office 365
Veeam for the Microsoft Cloud provides a consolidated solution for virtual, physical and cloud-based workloads with integrations for Microsoft Azure and Office 365.